BYD, a Chinese firm specializing in rechargeable batteries, vehicle manufacturing, and green energy technologies, will build two manufacturing facilities in Lancaster, Calif. One will focus on electric bus manufacturing. The other will focus on iron-phosphate battery manufacturing. These are the company's first U.S. facilities. They will be operated by BYD Motors Inc, the Los Angeles branch of the Chinese firm BYD Company Ltd.

BYD and the City of Lancaster first collaborated in 2010 by using BYD’s solar panels, batteries, and LED lighting to supply electricity to KB Homes built in Lancaster. In April, the Long Beach Transit Authority in California signed a $12.1 million contract with BYD to produce 10 zero-emissions, all-electric buses.

BYD has purchased the former Rexhall Industries recreational vehicle manufacturing facility in Lancaster at 46147 BYD Boulevard (previously 7th Street West) to house its electric bus manufacturing operations, as a decrease in demand for RVs has led to excess capacity at the plant.

Rexhall Industries will combine its manufacturing operations with its sales facility on 23rd Street West, while President and Chief Executive Officer of Rexhall Industries, William Rex, will stay on as general manager for BYD Coach & Bus LLC. A number of current Rexhall employees will also stay on as the plant transitions to BYD ownership.